Market commentary for 03/10/2009
Good day!
The market yawned after the biggest deal day in years. Roche upped the DNA bid, MRK is buying SGP and DOW is buying Rohm and Haas. Not much to say that is new after the weekend commentary and expectations for this week. After Monday's action nothing changed. Indices started the day with a gap down the gap was filled right after the open and the QQQQ broke to new highs to Friday's high resistance area. The SPY and the DIA back to near Friday's high and that was all what we saw from Indices strength for Monday. The rest of the day we saw slow selling pressure which turned most of the day in to the downtrend. On the 60 min chart we can see that Friday's bounce pace is stronger than Monday selling which gives us hope that Friday's low will hold even as a double bottom pattern. The QQQQ was the weakest and closed at the lows which suggests for a possible gap down. Since the selling pressure is very strong it is normal to expect that a recover won’t be easy and fast. Right now if Friday's low does hold we have fair odds for a rounding bottom pattern. But it is to early to be sure. Only positive right now is that Friday's buying pace is still stronger than Monday's selling, which gives us hope that the support will hold. My focus will stay the same as on Monday and all updates will be in the room.
Those of you that used to come into the trading room and stopped, I want to tell you I am back full time and welcome all of you to come again. There is nothing to lose since there is no charge for the service right now. I look forward to seeing you all there.
Good day!
The market yawned after the biggest deal day in years. Roche upped the DNA bid, MRK is buying SGP and DOW is buying Rohm and Haas. Not much to say that is new after the weekend commentary and expectations for this week. After Monday's action nothing changed. Indices started the day with a gap down the gap was filled right after the open and the QQQQ broke to new highs to Friday's high resistance area. The SPY and the DIA back to near Friday's high and that was all what we saw from Indices strength for Monday. The rest of the day we saw slow selling pressure which turned most of the day in to the downtrend. On the 60 min chart we can see that Friday's bounce pace is stronger than Monday selling which gives us hope that Friday's low will hold even as a double bottom pattern. The QQQQ was the weakest and closed at the lows which suggests for a possible gap down. Since the selling pressure is very strong it is normal to expect that a recover won’t be easy and fast. Right now if Friday's low does hold we have fair odds for a rounding bottom pattern. But it is to early to be sure. Only positive right now is that Friday's buying pace is still stronger than Monday's selling, which gives us hope that the support will hold. My focus will stay the same as on Monday and all updates will be in the room.
Those of you that used to come into the trading room and stopped, I want to tell you I am back full time and welcome all of you to come again. There is nothing to lose since there is no charge for the service right now. I look forward to seeing you all there.
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